German-American Discourse on Politics and Culture

February 08, 2016

Telepolis slams the Bill & Melinda Gates Foundation

The left-wing Truther site Telepolis has harsh criticism for the Bill & Melinda Gates Foundation. The main complaint is that the foundation has invested some of its capital in the shares of multinational corporations such as Coca-Cola and Bayer AG and that Microsoft takes advantage of loopholes in international tax treaties to minimize its corporate tax liability:

The Gates Foundation does not hide assets. It has a 501(3)C tax-exempt status.

Microsoft Corporation also does not hide assets. The problem is the US Tax Code; companies that repatriate off-shore profits are subject to a 38% tax - the highest in the world. So Microsoft - and every other US multinational - is acting rationally by keeping cash offshore.

As a Microsoft shareholder, I am pleased that the company has increased its dividend every year, on which I pay personal income tax- money the US Treasury otherwise would not have received.